The A-Class is the smallest and lowest-priced Mercedes-Benz model in India, and will add to the B-Class hatchback introduced last September.

The introduction of the A-Class is part of the company’s plans to offer new products in India this year, Mercedes-Benz India said. It didn’t give any sales projection for the car.

Hatchbacks accounted for the bulk of nearly 1.9 million cars sold in India in the financial year ended March 31, but most of those were comparatively lower-priced cars from companies such as Maruti Suzuki India Ltd., Hyundai Motor Co., Tata Motors Ltd., Nissan Motor Co. and Ford Motor Co.

Customers of the A-Class would have the option to choose between a 2.2-liter, four-cylinder diesel engine and a 1.6-liter four-cylinder gasoline engine. Both engines will come with seven-speed automatic transmissions.